# S.D. Codified Laws § 57A-8-109: Warranties in indirect holding

> South Dakota · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_SD_T57A_C8_S57A-8-109

## Section

- **Citation:** S.D. Codified Laws § 57A-8-109
- **Heading:** Warranties in indirect holding
- **Jurisdiction:** South Dakota
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** SD Code / Title 57A / Chapter 8 / Section 57A-8-109

## Text

(a) A person who originates an entitlement order to a securities intermediary warrants to the securities intermediary that:

(1) The entitlement order is made by an appropriate person, or if the entitlement order is by an agent, the agent has actual authority to act on behalf of the appropriate person; and

(2) There is no adverse claim to the security entitlement.

(b) A person who delivers a security certificate to a securities intermediary for credit to a securities account or originates an instruction with respect to an uncertificated security directing that the uncertificated security be credited to a securities account makes to the securities intermediary the warranties specified in § 57A-8-108(a) or (b).

(c) If a securities intermediary delivers a security certificate to its entitlement holder or causes its entitlement holder to be registered as the owner of an uncertificated security, the securities intermediary makes to the entitlement holder the warranties specified in § 57A-8-108(a) or (b).

Source: SL 1998, ch 284, § 1.

## Nearby sections

- [S.D. Codified Laws § 57A-8-101 Short title](https://www.frixlaw.com/law-library/statutes/STATE_SD_T57A_C8_S57A-8-101.md)
- [S.D. Codified Laws § 57A-8-102 Definitions and index of definitions](https://www.frixlaw.com/law-library/statutes/STATE_SD_T57A_C8_S57A-8-102.md)
- [S.D. Codified Laws § 57A-8-103 Rules for determining whether certain obligations and interests are securities or financial assets](https://www.frixlaw.com/law-library/statutes/STATE_SD_T57A_C8_S57A-8-103.md)
- [S.D. Codified Laws § 57A-8-104 Acquisition of security or financial asset or interest therein](https://www.frixlaw.com/law-library/statutes/STATE_SD_T57A_C8_S57A-8-104.md)
- [S.D. Codified Laws § 57A-8-105 Notice of adverse claim](https://www.frixlaw.com/law-library/statutes/STATE_SD_T57A_C8_S57A-8-105.md)
- [S.D. Codified Laws § 57A-8-106 Control](https://www.frixlaw.com/law-library/statutes/STATE_SD_T57A_C8_S57A-8-106.md)
- [S.D. Codified Laws § 57A-8-107 Whether endorsement, instruction, or entitlement order is effective](https://www.frixlaw.com/law-library/statutes/STATE_SD_T57A_C8_S57A-8-107.md)
- [S.D. Codified Laws § 57A-8-108 Warranties in direct holding](https://www.frixlaw.com/law-library/statutes/STATE_SD_T57A_C8_S57A-8-108.md)
- [S.D. Codified Laws § 57A-8-109 Warranties in indirect holding](https://www.frixlaw.com/law-library/statutes/STATE_SD_T57A_C8_S57A-8-109.md)
- [S.D. Codified Laws § 57A-8-110 Applicability--Choice of law](https://www.frixlaw.com/law-library/statutes/STATE_SD_T57A_C8_S57A-8-110.md)
- [S.D. Codified Laws § 57A-8-111 Clearing corporation rules](https://www.frixlaw.com/law-library/statutes/STATE_SD_T57A_C8_S57A-8-111.md)
- [S.D. Codified Laws § 57A-8-112 Creditor's legal process](https://www.frixlaw.com/law-library/statutes/STATE_SD_T57A_C8_S57A-8-112.md)
- [S.D. Codified Laws § 57A-8-113 Statute of frauds inapplicable](https://www.frixlaw.com/law-library/statutes/STATE_SD_T57A_C8_S57A-8-113.md)
- [S.D. Codified Laws § 57A-8-114 Evidentiary rules concerning certificated securities](https://www.frixlaw.com/law-library/statutes/STATE_SD_T57A_C8_S57A-8-114.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_SD_T57A_C8_S57A-8-109. Check the current official text before relying on it. Not legal advice.